GANGSTER ECONOMY

Flashy gold tycoon Otieno arrested, in court today

Two limousines seized in dawn raid at palatial Karen home

In Summary
  • Crackdown on fake gold dealers launched after complaints from victims.
  • Cops seeking other suspects — including Kisii-born politician and businessman Zaheer Jhanda
Gold bars
Gold bars
Image: FILE

Nairobi gold dealer Jared Otieno is expected in court today.

He was arrested yesterday following weeks of investigations about a fake gold racket.

Two of his limousines were seized in the dawn raid, Directorate of Criminal Investigations boss George Kinoti announced. The two vehicles were towed away from his palatial Karen home.

“The fugitive Jared Otieno has been arrested. We raided his newly-bought palatial house in Karen where two brand-new vehicles, a Bentley and a Porsch were recovered,” Kinoti said.

Police are seeking other suspects — including Kisii-born politician and businessman Zaheer Jhanda whom the police described as a person of interest.

Widely circulated social media pictures show Jhanda hobnobbing with high-profile politicians.

Kinoti said police are determined to dismantle what he described as a “criminal enterprise which had ballooned to a parallel gangster economy".

The crackdown on fake gold dealers was launched after complaints from victims –including a relative of the ruler of the United Arab Emirates, Sheikh Maktoum.

Fifteen suspects were produced in court on Tuesday. The police were given a week to hold them in cells before they can be charged.

The latest sting operation took place on Monday when police raided a palatial home in Kileleshwa and found boxes of fake gold. Some of the boxes were stuffed with sledgehammers and bags of cement. 

A magistrate’s court granted the request on Wednesday, saying the period will be sufficient to finalise the matter and decide the charges to be preferred.

Police had wanted two weeks, arguing they needed to establish the nationalities of three suspects and analyse data from phones and computers recovered.